Montana Film Tax Credit

How the Montana MEDIA Tax Credit Works

Montana's film tax incentive operates under the Montana Economic Development Industry Advancement (MEDIA) Act. Senate Bill 326, signed into law in May 2025, extended the program through 2045 and revised its structure to focus benefits on Montana-based production companies and Montana residents. As of early 2026, the Montana Department of Revenue is still finalizing the administrative rules for the revised program. No credits are currently being issued for productions that began filming after 2024.

Productions planning to use the Montana MEDIA credit in 2026 should contact the Montana Film Office directly to confirm when the revised program will begin accepting applications.

Program Structure Under SB326

Senate Bill 326 maintained the annual credit allocation at $12 million per year and refocused the program on local hiring. Under the revised structure:

• 20% credit on qualified non-payroll expenditures and above-the-line compensation

• 25% credit on compensation paid to resident below-the-line crew members

• 30% credit on wages paid to Montana tribal members or honorably discharged veterans who are Montana residents

Credits are transferable, allowing productions without Montana tax liability to sell the credit in the state market. The $12 million annual cap is structured to benefit Montana-based productions and those that employ significant numbers of Montana residents.

Eligible Production Types

The Montana MEDIA credit covers feature films, television series, commercials, documentaries, and digital content productions. The revised program specifically rewards productions that engage Montana-based companies and hire Montana residents, tribal members, and veterans.

What Qualifies as a Montana Expenditure

Qualifying expenditures generally include compensation paid to Montana residents with state income tax withheld, payments to Montana-registered vendors, equipment rentals from Montana companies, location fees, and lodging and meals at Montana businesses. The specific qualifying expenditure rules are being clarified through the SB326 rulemaking process.

How to Apply

Once administrative rules are finalized, productions will apply through the Montana Film Office before beginning principal photography. The application process requires a detailed budget, script, and documentation of planned Montana expenditures. After production concludes, a certified audit of qualified expenditures is required before credits are issued. Monitor the Montana Department of Commerce and Montana Film Office websites for implementation updates.

2026 Status: Program in Transition

Montana's MEDIA credit is in a transition period in 2026. The legislation extending the program through 2045 has been signed, which is a strong long-term signal. However, the administrative rulemaking process must be completed before new applications can be accepted. Productions that need financing certainty should wait for the rules to be finalized or proceed without relying on the incentive and treat any future credit as upside.

Why Productions Choose Montana

Montana offers some of the most dramatic natural landscapes in North America: Glacier National Park, the Rocky Mountain front, the Big Sky plains, and glacier-carved valleys. Historic mining towns and ranching communities provide authentic Western period locations. When the MEDIA Act program resumes full operations, Montana's combination of extraordinary locations and meaningful financial incentives will make it a compelling destination for qualifying productions. The state's film office remains active in supporting productions with permitting and location scouting even during the program's transition period.